Yields Of The Week: Dec 14 - Dec 20, 2024

Welcome to Yields of the Week! Every Friday, we spotlight the top DeFi yields across the crypto landscape, focusing on opportunities that are not just the highest APYs but also sustainable and unique opportunities. Whether you're new to DeFi or a seasoned degen, our goal is to help you navigate the yield farming space with confidence. Expect hands-on tutorials, expert strategies, and everything you need to master the digital asset space—starting with the best yields the market has to offer. Let’s dive into this week’s picks!

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Before we get started, this is never a recommendation or endorsement to buy any token(s) mentioned, and here’s a few risks to consider:

• Smart contract risk in any underlying protocols

• Pool size and liquidity depth

• Front-end spoof attack on an app frontend

• An economic design exploit

• Colluding signers on any multisig

• Systemic risk across DeFi, including stablecoin depegs

Stablecoin Yields

Here’s links to the top 5 yielding stablecoin pools for the past 7 days according to Vaults.fyi and what we could dig up:

36.37% - Apostro Resolv USDC

31.26% - Smokehouse USDC

30.40% - Convex Curve Lending pufETH/crvUSD

31.49% - Convex Curve Lending USDe/crvUSD

38.49%% - Convex Curve Lending sDOLA/crvUSD

Full list below:

Bonus: I will stop writing up Neutral Trade when they cease to have the best non-looping, single-sided USDC yield in DeFi. Today is not that day apparently. This marks over a month of being listed in YOTW and the yield has ranged from ~90% to ~140% throughout this time period. This product is truly incredible right now:

Bonus: Usual is another repeat entry as the yields keep going up as USUAL goes up. USUAL has some incredible dynamics, but I want to call out that this yield is denominated in a fairly novel utility token (USUAL) that is disinflationary and impacted positively by increasing protocol cashflows. Yields for the stablecoin and stable pairs are 59% - 98% APY right now:

Bonus: If you want easy set and forget stable yield on a fixed term (no yield fluctuations), Term Finance is a great option. For example they have a January 10th maturity offering 16.75% yield right now that you can easily click into under their “Earn” tab.

ETH & BTC Yields

Here’s links to the top 5 yielding ETH and BTC pools for the past 7 days according to Vaults.fyi:

18.61% - Swaap Lend WETH

10.73% - Seamless cbBTC

10.03% - Euler Prime wBTC

9.98% - Gauntlet WETH Core

9.93% - Steakhouse ETH

Full list below:

Bonus: Once again, Neutral Trade has some of the highest yields in all of DeFi on majors right now:

BTC Super Staking - 36.39%

ETH Super Staking - 27.06%

SOL Super Staking - 42.24%

Bonus: The Moonwell cbBTC vault on Harvest Finance has had nice yields for many consecutive weeks and currently yielding 13.76% on straight cbBTC.

Pendle

Fluid, one of the most innovative new protocols in DeFi joined Pendle this week:

Also, something I’ve personally been grappling with is how to play some of these Usual pools that are now emitting USUAL instead of pills. See below for a nice thread from the Pendle Intern:

Leverage Looping Yields

Looping can be a very effective leverage strategy to earn more yield, but one must be cautious to monitor borrowing rates, and liquidations which are a necessary cost to generate such leveraged yields (we don’t recommend max leverage). It’s also important to know if you’re going after points or real yield when looping.

It’s hard to stop highlighting Euler “Strategies”, as they continually have some of the best options around for looping or “multiplying” as they call it.

This sUSDE/USDC pool has a pretty incredible ROE of 491%. However, we never recommend going max leverage so that max ROE should be tempered a bit. Another thing to callout, I earmarked this one a bit earlier in the week and now the available liquidity is only $153.75K. Keeping an eye on new strategies that go up on the Euler UI could be a good move if you want to take part in some of these going forward.

If you’re new to Euler Finance and needing some catchup on the protocol vision, check out this episode of The Edge Podcast featuring Euler Founder Michael Bentley.

That’s all for now, thanks for checking it out!

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